TSX: IMG NYSE: IAG
TORONTO, Sept. 5, 2017 /CNW/ - IAMGOLD
Corporation ("IAMGOLD" or the "Company") today announced the
first mineral resource estimate in accordance with the Canadian
Institute of Mining, Metallurgy and Petroleum ("CIM") Definition
Standards incorporated by reference in National Instrument 43-101
("NI 43-101") for the Saramacca deposit located approximately 25
kilometres from its Rosebel operation in Suriname (see attached
map).
The resource estimate comprises 14.4 million tonnes of
indicated resources averaging 2.20 grams of gold per tonne for
1,022,000 ounces and 13.6 million tonnes of inferred resources
averaging 1.18 grams of gold per tonne for 518,000
ounces. Approximately 60% of the resources are contained
within shallow, softer laterite and saprolite hosted
mineralization. The Saramacca deposit remains open along
strike in both directions and at depth and has significant
potential for expansion.
IAMGOLD's President and CEO, Steve
Letwin, commented, "The NI 43-101 maiden resource estimate
for Saramacca confirms the significance of this gold discovery, and
adds to the substantial resource increase reported at Rosebel just
over a month ago. With an estimate surpassing our expectations and
a deposit that remains open, our transformative strategy to
consolidate prospective land packages around Rosebel continues to
add significant value for IAMGOLD shareholders."
Craig MacDougall, Senior Vice
President, Exploration for IAMGOLD, stated, " The initial resource
estimate reported for the Saramacca deposit today is the
culmination of an outstanding effort by our exploration and support
teams, who have worked tirelessly to advance the project since the
commencement of exploration activities last September. These
initial results not only exceed our expectations, but we are
excited about the potential to further expand the current resources
and to make additional discoveries on the property. I congratulate
the exploration team for the well-executed and safely-completed
exploration program leading to today's announcement."
The mineral resource for the Saramacca deposit incorporates
assay results from 307 diamond and reverse circulation drill holes
spaced at approximately 50 x 50 metres and totalling approximately
47,000 metres, including 217 holes totalling 37,700 metres
completed by IAMGOLD. The estimate was prepared using a block
model constrained with 3D wireframes of the principal mineralized
domains. Values for gold were interpolated into blocks using
ordinary kriging (OK). An open pit optimization algorithm was
run on the block model to constrain the resource and to support the
CIM requirement that Mineral Resources have 'reasonable prospects
for eventual economic extraction'. The resource estimate assumes a
long-term gold price of US$1,500/ounce. Only mineralization contained
within the preliminary pit shell has been included in the resource
estimate. It is meaningful to note that the pit shell
generated extends to the base of the defined resources in some of
the higher grade zones of the deposit. The effective date of this
resource estimate is August 28,
2017.
A supporting NI 43-101 Technical Report will be filed on SEDAR
at www.sedar.com no later than 45 days after the date of this
release.
MINERAL RESOURCE
STATEMENT - SARAMACCA GOLD PROJECT, SURINAME
|
August 28,
2017
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|
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|
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Category
|
Weathering
Zone
|
Cut-off
Grade
(g/t
Au)
|
Tonnage
(000s
t)
|
Grade
(g/t
Au)
|
Contained
Au
(000s
oz)
|
Indicated
|
|
|
|
|
|
Laterite
|
0.25
|
2,372
|
1.20
|
91
|
Saprolite
|
0.25
|
5,573
|
2.43
|
436
|
Transition
|
0.35
|
2,526
|
2.17
|
176
|
Fresh
|
0.45
|
3,973
|
2.49
|
318
|
Total
Indicated
|
|
|
14,444
|
2.20
|
1,022
|
Inferred
|
|
|
|
|
|
Laterite
|
0.25
|
4,455
|
0.69
|
98
|
Saprolite
|
0.25
|
4,790
|
0.82
|
126
|
Transition
|
0.35
|
1,349
|
1.97
|
86
|
Fresh
|
0.45
|
3,039
|
2.13
|
208
|
Total
Inferred
|
|
|
13,632
|
1.18
|
518
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Notes:
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1.
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Mineral resources are
not mineral reserves and have not demonstrated economic
viability.
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2.
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CIM definitions were
followed for classification of Mineral Resources.
|
3.
|
Cut-off grades are
0.25 g/t Au for laterite and saprolite, 0.35 g/t Au for transition
and 0.45 g/t Au for fresh rock.
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4.
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Mineral Resources are
reported using a gold price of US$1,500 per ounce.
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5.
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Mineral Resources are
constrained by a Whittle optimized pit shell.
|
6.
|
All figures have been
rounded to reflect the relative accuracy of the estimates.
Discrepancies in sums occur due to rounding.
|
In support of the mineral resource estimate, preliminary
metallurgical test work was completed by ALS Metallurgical
Laboratories in Vancouver, British
Columbia, Canada, on thirteen composite samples prepared
from drill core obtained from the Saramacca drilling program. The
results suggest that gold recoveries averaging approximately 97% in
oxide, 76% in transition and 82% in fresh rock can be expected from
a conventional gravity and leach/carbon in leach (CIL)
circuit. Further testing is recommended to further optimize
gold recoveries.
About the Saramacca Project
The Saramacca project is strategically located approximately 25
kilometres southwest of the Rosebel Gold Mine processing facility.
Mineralization is hosted in the Paramaka Formation within the lower
part of the Marowijne Greenstone Belt, which is dominated by
metamorphosed basalt and andesite lithologies in the project
area. These are traversed by the regional, northwest trending
Saramacca shear zone, an important deformation zone for the
localization of gold mineralization. Drilling has confirmed the
presence of multiple mineralized structures within an approximately
2-kilometre long and 400-metre wide corridor. Mineralization occurs
in the near surface oxidized weathering profile to depths ranging
from 50 to 100 metres, as well as deeper in primary sulphide
zones. In the deposit area, three mineralization styles are
recognized from the drilling completed to date: breccia hosted
mineralization characterized by jigsaw, crackle and matrix
supported breccias; shear hosted mineralization characterized by
well-developed pyritic disseminations and stringers; and irregular
pyrite-quartz-carbonate veins which locally carry high gold
grades.
On August 30, 2016, the Company
signed a letter of intent with the Government of Suriname to
acquire rights to the Saramacca property, with the intent of
defining a National Instrument 43-101 mineral resource within 24
months. The terms of the letter included an initial payment of
$0.2 million, which enabled immediate
access to the property for Rosebel's exploration team to conduct
due diligence, as well as access to the data from previous
exploration activity at the Saramacca property. On September 30, 2016, having been satisfied with
the results of the due diligence, the Company ratified the letter
of intent to acquire the Saramacca property and subsequently paid
$10 million in cash and agreed to
issue 3.125 million IAMGOLD common shares to the Government of
Suriname in three approximately equal annual instalments on each
successive anniversary of the date the right of exploration was
transferred to Rosebel (December
2016). In addition, the agreement provides for a potential
upward adjustment to the purchase price based on the contained gold
ounces identified by Rosebel in National Instrument 43-101 measured
and indicated resource categories, within a certain Whittle shell
within the first 24 months, to a maximum of $10 million.
The Saramacca project falls within the "UJV" area as defined in
an Agreement with the Government of Suriname announced on
April 15, 2013. The Agreement
establishes a joint venture growth vehicle under which Rosebel
would hold a 70% participating interest and the Government will
acquire a 30% participating interest on a fully-paid basis.
Next Steps
With the results of the initial resource estimate now in hand, a
follow up drilling program is expected to commence this quarter
with the objective to: 1) increase the confidence in the current
resources and convert inferred resources to indicated; 2) target
expansions to the existing resource along known mineralized trends
and at depth, and 3) evaluate identified exploration targets for
the presence of additional mineralized zones. A program of
approximately 20,000 metres of diamond and reverse circulation
drilling is planned for completion during the remainder of
2017.
In addition to the drilling program outlined above, the Rosebel
mine team is working to advance the Saramacca deposit towards
production. An Environmental and Social Impact Study (ESIA)
is already underway as the fundamental element in the permitting
process. Preliminary engineering work has been undertaken on
mine design, and infrastructure elements such as ore transport
options, access roads, and waste rock disposal. In addition
to the exploration work planned for the next phase, field work will
commence soon on geotechnical investigation and condemnation
work. Additional, comprehensive metallurgical testing will
also be undertaken to refine the recovery assumptions, to test the
crushing and grinding characteristics of the ore, and to
investigate the metallurgical variability across the ore deposit.
Using the new block model as a basis, new mine designs and
integrated scheduling with the main Rosebel resources will commence
soon, and will continue to be advanced as additional geologic and
engineering information becomes available. It is our
intention to complete the permitting work and to generate a
preliminary reserve estimate for Saramacca during the first half of
2018 and to work toward initial production in 2019.
Forward Looking Statement
This news release contains forward-looking statements. All
statements, other than of historical fact, that address activities,
events or developments that the Company believes, expects or
anticipates will or may occur in the future (including, without
limitation, statements regarding expected, estimated or planned
gold production, all-in sustaining costs and other cost estimates,
capital expenditures and exploration expenditures and statements
regarding the estimation of mineral resources and mineral reserves,
exploration results, life-of-mine estimates and potential mineral
resources and mineral reserves) are forward-looking statements.
Forward-looking statements are generally identifiable by use of the
words "may", "will", "should", "continue", "expect", "anticipate",
"estimate", "believe", "prospective", "significant", "significant
potential", "substantial", transformative", "intend", "plan" or
"project" or the negative of these words or other variations on
these words or comparable terminology. Forward-looking statements
are subject to a number of risks and uncertainties, many of which
are beyond the Company's ability to control or predict, that may
cause the actual results of the Company to differ materially from
those discussed in the forward-looking statements. Factors
that could cause actual results or events to differ materially from
current expectations include, among other things, without
limitation, failure to meet expected, estimated or planned gold
production, unexpected increases in all-in sustaining costs or
other costs, unexpected increases in capital expenditures and
exploration expenditures, variation in the mineral content
within the material identified as mineral resources and mineral
reserves from that predicted, changes in development or mining
plans due to changes in logistical, technical or other factors, the
possibility that future exploration results will not be consistent
with the Company's expectations, changes in world gold markets and
other risks disclosed in IAMGOLD's most recent Form 40-F/Annual
Information Form on file with the United States Securities and
Exchange Commission and Canadian securities regulatory authorities.
Any forward-looking statement speaks only as of the date on which
it is made and, except as may be required by applicable securities
laws, the Company disclaims any intent or obligation to update any
forward-looking statement.
Qualified Persons and Technical Information
The mineral resource estimate, including verification of the
data disclosed, has been completed by SRK Consulting (Canada) Inc. ("SRK") and reported in
accordance with NI 43-101 requirements and CIM Estimation Best
Practice Guidelines. The resource estimate was prepared by Mr.
Glen Cole, P.Geo., Principal
Resource Geologist and Dr. Oy
Leuangthong, P.Eng., Principal Geostatistician with SRK.
Both Mr. Cole and Dr. Leuangthong, who are independent qualified
persons under NI 43-101, have reviewed and approved the contents of
this release. The information in this news release was reviewed and
approved by Craig MacDougall,
P.Geo., Senior Vice President, Exploration for IAMGOLD. Mr.
MacDougall is a Qualified Person as defined by National Instrument
43-101.
Notes to Investors Regarding the Use of Resources
Cautionary Note to Investors Concerning Estimates of Measured
and Indicated Resources
This news release uses the
term "indicated resources". We advise investors that while that
term is recognized and required by Canadian regulations, the United
States Securities and Exchange Commission (the "SEC") does not
recognize them. Investors are cautioned not to assume that any part
or all of mineral deposits in these categories will ever be
converted into reserves.
Cautionary Note to Investors Concerning Estimates of Inferred
Resources
This news release also uses the term
"inferred resources". We advise investors that while this term is
recognized and required by Canadian regulations, the SEC does not
recognize it. "Inferred resources" have a great amount of
uncertainty as to their existence, and great uncertainty as to
their economic and legal feasibility. It cannot be assumed that all
or any part of an inferred mineral resource will ever be upgraded
to a higher category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of feasibility or
pre-feasibility studies, except in rare cases. Investors are
cautioned not to assume that part or all of an inferred resource
exists, or is economically or legally mineable.
Scientific and Technical Disclosure
IAMGOLD is
reporting mineral resource estimates in accordance with the CIM
guidelines for the estimation, classification and reporting of
resources.
Cautionary Note to U.S. Investors
The SEC
limits disclosure for U.S. reporting purposes to mineral deposits
that a company can economically and legally extract or
produce. IAMGOLD uses certain terms in this news release,
such as "measured," "indicated," or "inferred," which may not be
consistent with the resource definitions established by the
SEC. U.S. investors are urged to consider closely the
disclosure in the IAMGOLD Annual Reports on Forms 40-F. You can
review and obtain copies of these filings from the SEC's website at
http://www.sec.gov/edgar.shtml or by contacting the Investor
Relations department.
The Canadian Securities Administrators' NI 43-101 requires
mining companies to disclose reserves and resources using the
subcategories of "proven" reserves, "probable" reserves, "measured"
resources, "indicated" resources and "inferred" resources. Mineral
resources that are not mineral reserves do not demonstrate economic
viability.
A mineral resource is a concentration or occurrence of natural,
solid, inorganic material, or natural, solid fossilized organic
material including base and precious metals in or on the Earth's
crust in such form and quantity and of such a grade or quality that
it has reasonable prospects for economic extraction. The location,
quantity, grade, geological characteristics and continuity of a
mineral resource are known, estimated or interpreted from specific
geological evidence and knowledge. A measured mineral resource is
that part of a mineral resource for which quantity, grade or
quality, densities, shape and physical characteristics are so well
established that they can be estimated with confidence sufficient
to allow the appropriate application of technical and economic
parameters, to support production planning and evaluation of the
economic viability of the deposit. The estimate is based on
detailed and reliable exploration, sampling and testing information
gathered through appropriate techniques from locations such as
outcrops, trenches, pits, workings and drill holes that are spaced
closely enough to confirm both geological and grade continuity. An
indicated mineral resource is that part of a mineral resource for
which quantity, grade or quality, densities, shape and physical
characteristics can be estimated with a level of confidence
sufficient to allow the appropriate application of technical and
economic parameters, to support mine planning and evaluation of the
economic viability of the deposit. The estimate is based on
detailed and reliable exploration and testing information gathered
through appropriate techniques from locations such as outcrops,
trenches, pits, workings and drill holes that are spaced closely
enough for geological and grade continuity to be reasonably
assumed. An inferred mineral resource is that part of a mineral
resource for which quantity and grade or quality can be estimated
on the basis of geological evidence and limited sampling and
reasonably assumed, but not verified, geological and grade
continuity. The estimate is based on limited information and
sampling gathered through appropriate techniques from locations
such as outcrops, trenches, pits, workings and drill holes. Mineral
resources which are not mineral reserves do not have demonstrated
economic viability.
Investors are cautioned not to assume that part or all of an
inferred resource exists, or is economically or legally
mineable.
A feasibility study is a comprehensive technical and economic
study of the selected development option for a mineral project that
includes appropriately detailed assessments of realistically
assumed mining, processing, metallurgical, economic, marketing,
legal, environmental, social and governmental considerations
together with any other relevant operational factors and detailed
financial analysis, that are necessary to demonstrate at the
time of reporting that extraction is reasonably justified
(economically mineable). The results of the study may
reasonably serve as the basis for a final decision by a proponent
or financial institution to proceed with, or finance, the
development of the project. The confidence level of the study
will be higher than that of a Pre-Feasibility Study.
A Pre-Feasibility Study is a comprehensive study of a range of
options for the technical and economic viability of a mineral
project that has advanced to a stage where a preferred mining
method, in the case of underground mining, or the pit
configuration, in the case of an open pit, is established and an
effective method of mineral processing is determined. It includes a
financial analysis based on reasonable assumptions on mining,
processing, metallurgical, economic, marketing, legal,
environmental, social and governmental considerations and the
evaluation of any other relevant factors which are sufficient for a
qualified person, acting reasonably, to determine if all or part of
the Mineral Resource may be classified as a Mineral Reserve.
CONFERENCE CALL
A conference call will be held on
Wednesday, September 6, 2017 at
8:30 a.m. (Eastern Daylight Time) for
a discussion with management regarding the mineral resource
estimate for Saramacca. A webcast of the conference call will also
be available through IAMGOLD`s website - www.iamgold.com.
Conference Call Information: North America Toll-Free:
1-800-319-4610 or 1-604-638-5340.
A replay of this conference call will be accessible for one
month following the call by dialing: North America toll-free: 1-800-319-6413 or
1-604-638-9010, passcode: 1658#.
About IAMGOLD
IAMGOLD (www.iamgold.com) is a mid-tier mining company with four
operating gold mines on three continents. A solid base of strategic
assets in North and South America
and West Africa is complemented by
development and exploration projects and continued assessment of
accretive acquisition opportunities. IAMGOLD is in a strong
financial position with extensive management and operational
expertise.
Please note:
This entire news release may be accessed via fax, e-mail, IAMGOLD's
website at www.iamgold.com and through CNW Group's website at
www.newswire.ca. All material information on IAMGOLD can be found
at www.sedar.com or at www.sec.gov.
Si vous désirez obtenir la version française de ce communiqué,
veuillez consulter le
http://www.iamgold.com/French/accueil/default.aspx.
SOURCE IAMGOLD Corporation